Momo, Inc. (NASDAQ:MOMO) stock plunged on Tuesday after the China-based company released its Q3 earnings report.
The drop comes despite bringing in earnings per share of 45 cents for Q3. As a point of reference, this is much better than Momo’s earnings per share of 24 cents from the same time frame in 2016. Not only that, it also surpassed Wall Street’s estimates of 38 cents for the third quarter.
Important Figures in Momo, Inc.’s Third-Quarter Report:
Revenue came in at $354.50 for the third quarter of the year, which is up from the social networking company’s revenue of $157.00 million in Q3 of last year. Additionally, revenue came in well above analysts estimate of $339.29 million.
In the report, Momo, Inc. also provided guidance for Q4, stating that revenue is forecasted to come in between the range of $370.00 million and $385.00 million. The Street is forecasting revenue of $382.08.
Despite reporting nothing but good news in the Q3 earnings report, Momo’s stock still took a massive hit on Tuesday. However, the company shouldn’t take it personally – it is very likely today’s drop is due to the falling stock market in China that began on Thursday.
Featured Image: twitter
